Hi fonegirl,
I set up a system in my shop and attempted to duplicate your problem. I was unsuccessful. I attempted this with DR2, DR4 and DR5 software versions.
Each time, If I have Bkgrnd Music set to "yes", and on Hold set to "Music", I was able to get Music on hold.
The thing that baffles me is what you said about Tones:
"When I change it to tones I don't get anything but silence"
That leads me to believe that there is an internal problem with the KSU, preventing any audio from being transmitted to the CO ports.
Jeter, Schlum, Norstargirl... whattayathink? Dave McCall
Norstarpro